TCE Responds to Federal Cuts to Medicaid & the Safety Net

The California Endowment condemns the federal government’s devastating cuts to Medicaid and other safety-net programs. For the past 60 years, Medicaid has helped Americans access life-saving healthcare services, treatment, and medication. More than 14.9 million Californians, half of all children in the state, and millions of working families are protected by Medi-Cal, our state’s own Medicaid program.

But during the anniversary year of this transformational program, H.R. 1 will take nearly $1 trillion out of Medicaid over the next decade, depriving California’s Medi-Cal program of $28.4 billion and leaving an estimated 3.4 million Californians without healthcare. These cuts will drive up health care costs and put hospitals and community clinics at risk of shutting down.

It is everyday Californians that will be impacted by these cuts; pregnant moms who rely on Medicaid to deliver healthy babies, parents who rely on Medicaid to afford lifesaving medicine and treatment for their children, and elders who are only able to live with dignity and care because of Medicaid. People who work in hospitals, clinics or other health care services will lose their jobs as facilities may be forced to shut down thus hurting local economies. Gambling with lives like this is dangerous. Providing access to healthcare services, hospitals to our communities, and food and nutrition services to those who need it most will never be a waste of government resources.

The devastating cuts imposed by H.R. 1 will put a strain on our state’s budget and force policymakers to make difficult decisions. Our grantees, policymakers and many others, have done incredible work to bring California’s uninsured rate down from 15% in 2013 to 6% today. We cannot let that progress be lost. It is our duty to protect the healthcare of as many Californians as possible, despite these federal cuts.

As the largest health foundation in California with a single mission of improving the health and wellbeing of all Californians, The California Endowment is ready to work with policymakers, health providers, communities, and other stakeholders to find creative ways to continue to take care of our people by protecting their healthcare. We know healthcare is a human right and we will continue our work to build a California where everyone – regardless of immigration status or beliefs – has access to affordable healthcare.